AA Company was established on 1/1/2015 with $20,000 cash investment from a couple of owners. The accounting period is from 1/1 to 12/31. The following transactions have been occurred in 2015 and 2016.

Year 2015:

a.$20,000 total sales: $17,000 received in cash and $3,000 on credit. b.$7,000 paid in cash for operating expenses

Year 2016:

a.Purchased equipment and paid $3000 in cash b.$8,000 cash sales c.$3,000 operating expenses, but not paid in cash d.Depreciation expense for the equipment is $500.

Please prepare B/S and I/S for Year 2015 and Year 2016.